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The End of Wall Street?
Wall Street is being humbled by the double whammy of technological
progress and unkind market forces. Its super natural powers and over
lordship are on the way out.
For two centuries and more, especially after the unification of
Germany in 1871, Wall Street was the lodestar, besides being the
hub, of the world capital market. With capitalisation dwarfing even
US GDP it made and unmade business empires, fanned economic crises,
promoted entrepreneurs and made private wealth the hallmark of
economic growth and prosperity.
Now it has entered the Saturn period. Small markets, nick named dark
pools, are taking away its business. It is about a decade since the
erosion began. Technology is on the side of the new traders.
Businesses involving huge chunk of shares are done in a fraction of
a second across the world.
Wall Street is feeling the pinch. Call it the result of
globalization. Its trading halls being closed and the transactions
inked on its floor are falling. Reflecting its misfortune the Big
Board, as Wall Street is known, has lost $470 million last year.
Nobody knows for sure how many trading systems are there or how they
can be monitored. Each of the two of the top claims business to the
tune of 10% of the Bog Board everyday.
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